Luxury Drop

PPR, the French luxury conglomerate that controls Gucci, Yves Saint Laurent and Balenciaga to name but just a few, has reported a decrease in its third quarter sales. According to WWD, from July to September sales declined 7.6 per cent - an outcome that was worse than had been predicted - to 4.56 billion euros. Chief executive officer of PPR, Francois-Henri Pinault, said: "PPR faced the convergence in the third quarter of 2009 of several unfavourable factors." A slump in wholesale orders, as well as a decrease of Russian and Middle Eastern tourists in Europe, are noted to be have harmed the company's operations for luxury goods. Yesterday, LVMH - despite a boost from the sales of Louis Vuitton - also reported a decrease in its profits during the same time period.